[Congressional Record (Bound Edition), Volume 155 (2009), Part 6]
[Extensions of Remarks]
[Page 7372]
[From the U.S. Government Publishing Office, www.gpo.gov]




             HELPING FAMILIES SAVE THEIR HOMES ACT OF 2009

                                 ______
                                 

                          HON. BETTY McCOLLUM

                              of minnesota

                    in the house of representatives

                         Monday, March 16, 2009

  Ms. McCOLLUM. Madam Speaker, I rise today in strong support of the 
Helping Families Save Their Homes Act of 2009 (H.R. 1106) and to 
congratulate Chairman Frank, Chairman Conyers, and Speaker Pelosi for 
their quick action to help American families.
  The last eight years of disinvestment in American families have 
pushed the economy into a deep recession. Unemployment is rising and 
home values are falling while the costs of health care and food 
continue to rise. Thousands of my constituents have been laid off and 
can no longer afford to meet the basic needs of their families or pay 
their mortgages.
  The dream of homeownership has become a nightmare for too many. Many 
home buyers are falling behind on their payments because of dropping 
home values and the financial crisis through no fault of their own. 
Many could make their mortgage payments until they lost their jobs or 
their incomes dropped. Others were victims of predatory lending by 
unscrupulous mortgage brokers and are now struggling with unaffordable 
subprime loans. An estimated 14 million homeowners owe more than their 
home is worth, and many cannot refinance into an affordable mortgage. 
As a result, a record number of Americans are losing their homes to 
foreclosure every month. Foreclosures hurt everyone--including our 
families, neighborhoods, and communities--resulting in lost tax revenue 
for local governments, reduced property values for neighbors, and often 
abandoned properties require an increased police presence in our 
neighborhoods.
  The Helping Families Save Their Homes Act of 2009 is a comprehensive 
approach to break the cycle of foreclosures and declining home values. 
This legislation offers fair and effective solutions to help families 
who are facing foreclosure today and those at risk of foreclosure in 
the future. To accomplish this, H.R. 1106 improves the Hope for 
Homeowners program by reducing fees that discourage lenders from 
voluntarily refinancing mortgage loans. This bill would also provide 
bankruptcy judges with the authority they need to modify loan terms for 
families who are already in the bankruptcy process--a provision that 
could reduce foreclosures by 20 percent at no cost to taxpayers. 
Bankruptcy courts currently have the power to modify loans for 
corporations, commercial real estate and even vacation homes; extending 
this option to save the primary residences for families is necessary 
and equitable.
  Last week, President Obama announced the Comprehensive Homeowner 
Affordability and Stability Plan, a bold strategy to help up to nine 
million families restructure their mortgages to avoid foreclosure. The 
Helping Families Save Their Homes Act is a key step in putting 
President Obama's plan into place.
  The collapsing housing market is one of the root causes of the 
present economic crisis. Until the housing sector is stabilized, there 
will simply be no recovery in America. H.R. 1106 is a major step in 
addressing the crisis in the housing market
  I urge my colleagues to support this legislation.

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